Stock Brokers in the UK – Choosing the Best Option

As of 2019, an estimated 2.2 million adults in the UK owned an ISA for stocks and shares. Of that amount, almost 86.5% is owned by professional entities including banks, lenders and investment agencies. The remaining accounts are owned by individuals that have likely opted to take on the services of stock brokers in the UK.
There are quite a few stock brokers situated in the United Kingdom – and whether you’re new to investing or you’re more experienced in the field, it can be highly beneficial to have a good broker on your side. Fortunately, there are a wide variety of different specialists to choose from, giving you the chance to find the one that’s best suited to your individual needs.

Why is it crucial to find the right stock broker?

Investing in the stock market isn’t always the simplest of tasks, mainly due to the potential pitfalls that could end up costing you if you’re not careful. This is why you need the help of a good stock broker. 
Their job is to help you make your investments at the right time and place, giving you the best opportunity to make a profit on your transaction. They can also help you to manage your money in the stock market, build a good portfolio and more. However, since the efficiency, services and prices can vary greatly from one broker to another, it can often be well worth putting in a little time and effort to pick out the one that will be most useful to you.

How can you find best stock brokers in the UK?

If you’re not sure on how to start your search for a broker, you’ll be glad to hear that it doesn’t have to be complex. All you’ll need to do is have a better understanding of how to filter through the many different options that are out there. 
There is a number of things that you should consider when looking for a broker, a few of which will include:

Search online for the best stock brokers 

In most cases, one of the most effective ways to find the best UK stock brokers is to look on the internet. To make matters even better, it’s often so easy to place a quick search and scour through the different results. A simple look could provide you with plenty of options, as well as the chance to learn more about stock brokers as a whole. 
With all the information you need right at your fingertips, all you’ll need to do is look a little closer at what’s on offer. The internet is such a powerful tool and it’s so easy to use – with as little as a stable connection, you’re good to go.

Consider what you need from a stock broker

First and foremost, when you’re looking through the available options, it can be essential to find a broker that meets your needs. 
What you want from them may be entirely different from what they’re capable of doing, so it’s always best to take the time to understand yourself before starting your search. You’ll need to find one that fits into your budget, which may not be as easy as it sounds; especially if you’ve got a low price limit.
In general, they should be able to help you reach your financial goals and meet your investment strategies – if they don’t, it might be best to continue your search.

Is their trading platform easy enough to use?

You’ll likely be spending quite a lot of time on your brokers’ trading platform when making investments, which is why it can be important to consider things like the user interface, design and simplicity. For the best experience, all of these factors can be essential.

Are they up to the job?

If a broker seems like they could help you, the next step that you can’t overlook is a background check. Since there are some less than authentic vendors out there, looking into the reputations of different stock brokers in the UK can be vital. Luckily, this can often be a fairly straight-forward task – all you’ll need to do is take a look at what their clients have said about them. The more positive reviews there are, the more likely they are to be a good choice.

How much do they charge?

Every broker will charge a fee for their services, with the more experienced and advanced ones often having higher prices. This doesn’t always have to be too expensive, though. Typically, for trading commissions, a broker will trade a flat fee or a percentage of the trade value, which could have a minimum cost as low as £25. 
Ideally, you should ask around and get a better idea of how much you’ll be looking to pay with different stock brokers and make your decision based on what’s available to you.
Quick tips:  
  • Each broker has something to offer. Since many brokers are likely to have different services, it’s always best to consider everything that’s on offer and ask questions if there’s anything you’re unsure about
  • Be wary of frauds. While there are plenty of good stock brokers in the UK who offer their services for an affordable price, there are also scammers who are less than experienced and incapable of offering worthy advice
  • Low-commission fees aren’t always ideal. Most people will want to get a good deal, especially when it comes to their investments. However, you may not be getting your money’s worth if you’re not getting quality services
  • Watch out for hidden charges. Some brokers may have hidden charges while investing and trading, and this is something that you’re going to want to avoid. All the fees should be made clear – most brokers will have a pricing section, so you can see everything they charge upfront
  • Some offer additional bonuses. To encourage more people to sign up with them, most professional brokers will offer extras. For example, this could be something like no Annual Maintenance Charges or free account opening

Closing thoughts

While there’s a lot to consider while choosing stock brokers in the UK, you might just find that it’s easier than it seems. The more time and effort you put in, the better your results will be – but even then, a quick look online could give you everything you need to make a good decision.